The study examined the impact of inventory management on service delivery in public health facilities. The objectives of the study were to examine the inventory management techniques, to assess the ways through which inventory management influences service, and to establish the challenges faced in implementing inventory management techniques employed at Kidera health Centre III.  

The methodology involved the use of a cross sectional research designs which employed the use of both quantitative and qualitative techniques. The population of study involved a cross section of stores personnel, procurement officers, human resource managers, accountants as well as a wide range of mid-level workers in Kidera health Centre III. Both purposive sampling and simple random sampling techniques were employed to attain responses from the employees in the organization that constituted of 50 respondents.

The findings revealed that the challenges faced by Kidera health Centre as far as inventory management is concerned include the high maintenance costs as well as theft and pilferage. The organization has also got limited personnel with the required competence in managing MRP software which limits the applicability of the inventory management systems. The researcher recommended that there is need to ascertain both current and future requirements and ensure that stocks of inventory items are kept at levels that provide maximum service levels at minimum costs.

The major inventory management technique employed at Kidera health Centre III was Material Requirement Planning (MRP) since the organization intended to simultaneously ensure that the materials were available for production and that the products were available for delivery to customers effectively. Inventory management influenced service delivery in Kidera health Centre by maintaining sufficient re-order levels so as to eliminate occurrence of emergency purchases.